Unraveling a Tangled Web:
Motor Carrier Protection Act of 2010
Depending on whom you talk to, the new Motor Carrier Protection Act is either an example of true compromise and collaboration - or a significant threat to all small brokers.
Background
On June 14, Senators Olympia Snowe, R-ME and Amy Klobuchar, D-MN introduced Senate Bill S. 3483, which is new legislation aimed at reducing broker and freight forwarder fraud. The Motor Carrier Protection Act of 2010 has received great support from two unlikely partners: the Owner-Operator Independent Drivers Association (OOIDA) and Transportation Intermediaries Association (TIA).
After disagreeing on the TRUCC Act, legislation that would have fundamentally changed fuel-charge pass through and margin disclosure in 2008, OOIDA and TIA sat down in search of common ground. What they both identified is that their members - drivers and brokers, respectively - were being harmed by industry fraud. According to an open letter from TIA's President and Chairman of the Board of Directors, "Both organizations had to compromise, and in doing so, we recognized that it would be better to work together than to argue on Capitol Hill and risk having a solution dictated by Congress that would not be in the best interest of either group."
Proposed Changes
If passed, Senate Bill S. 3483 includes many changes in the brokering industry, including:
1. Broker bond will increase from $10,000 to $100,000.
2. Freight forwarders will have to comply with bond requirements.
3. Broker bond and trust companies will be publicly regulated.
4. Each brokerage must have one experienced, qualified principle tied to the authority.
5. Brokering will be defined as putting one company's freight on another unrelated company's truck.
6. All companies, including carriers, must have an authority to broker freight.
7. If an agent brokers or forwards freight without the necessary bond or licensure, they would be open to unlimited liability for freight charges.
8. On each shipment, companies will have to declare the authority they are operating under (carrier, broker, shipper) - and this declaration would remain throughout the transaction, preventing double brokering.
9. All brokers and freight forwarders would be required to renew their operating authority each year or risk immediate revocation of their authority by the Department of Transportation (DOT).
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 Facebook and Twitter are taking a toll on personal relationships. Is this affecting the industry?
These days, it seems like everyone is jumping on the social networking bandwagon.
Sure, Facebook, Twitter and Foursquare are great ways to connect to old friends, promote businesses, and keep up with the times, but are they making individual connections less personal? Are these outlets blurring the lines between private and public information?
What is the etiquette when it comes to the phone and the internet? Do the same (or any?!) rules apply?
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Great American Truck Show
 What's the biggest event in August for the trucking industry? The Great American Truck show and YOU need to be there!
Getloaded will be attending GATS 2010 in Dallas, TX. The show is August 26-28 and we would love to see you there! Last year, over 45,000 people attended with over 400 exhibitors and they expect even more this year. In addtion to these attendees and exhibitors, there will be more meetings and events. Don't miss out! Be sure to stop by Getloaded's booth, #25006, for a chance to win special giveaways as well as the ever popular new Getloaded t-shirts.
Getloaded is excited to see you at GATS 2010. We look forward to seeing you there at booth #25006! |
